ANNEXURE 111 import of goods concessional rate

[george thomas]

Dear Sir

We are procuring 2000 MTS of Crude Palm Oil from one importer by way of in bond stock transfer. Our product is coming under Customs Notification 12/2012 Sl.No.51 of 11 (A) dated 17.03.2012 last amended by notification 46 of 2015 and present Customs Duty is 12.5% with condition no.5 ( Actual User Condition and conditions asper cUSTOMS ( IMPORT OF GOODS AT CONCESSIONAL RATE OF DUTY FOR MANUFACTURE OF EXCISABLE GOODS) RULES,1996. Our application for issuance of Annexure 111 rejected by Asst.Commissioner of Central Excise for the following reasons.

1.Procurement by way of stock tranfer

2.Not Directly importing by us and notification does not cover such procurement.

Kindly clarify we arec eligible to get Annexure 111 and pay duty as per Notification No.12/2012

[Mahir S]

Sir,

First para of Notification no. 12/2012 Customs dated 17.03.2012 reads as under :-

G.S.R. 185(E).- In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962) and in supersession of the notification of the Government of India in the Ministry of Finance ( Department of Revenue), No. 21/2002-Customs, dated the 1st March, 2002 Published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 118(E) dated the 1st March, 2002, except as respects things done or omitted to be done before such supersession, the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts the goods of the description specified in column (3) of the Table below or column (3) of the said Table read with the relevant List appended hereto, as the case may be, and falling within the Chapter, heading, sub-heading or tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as are specified in the corresponding entry in column (2) of the said Table, when imported into India,-

In view of the above , as goods has not been imported by you , it appears you are not eligible for the benefit under the said notification and therefore department has rejected your application.

AI Summary

Concessional customs duty entitlement requires that the claimant be the importer; stock transfers do not qualify for Annexure issuance. Eligibility for concessional duty under Notification No. 12/2012 requires that the goods be 'imported into India' by the applicant; goods received by in-bond stock transfer from an importer, where the transferee did not import the goods, fall outside the scope of the notification and therefore do not qualify for Annexure III/111 issuance.